The Pulse: How is Analytics Used in Business Strategy?
There are different kinds of business analytics solutions that can help companies of every size make better decisions. A popular application of business analytics is predicting what customers will buy based on real-time market trends.
A recent article from the Predictive Analytics Times explains the differences between the types, including regression analysis and A/B testing. This article recommends that businesses focus on predictive analysis instead of reactionary analysis. The latter could mean that your business is making business decisions too slowly, especially if you are working with consumer trends that have already occurred.
We want to help your business answer the question of how analytics is used in business strategy. Here''s an example offered in the article. Consider the website that operates an online store, even a huge operation like Amazon. A predictive tool can work with your past purchases in the online store and then suggest new purchases. For example, if you purchased a particular grooming tool for your dog, the website can suggest other dog products, including pet food, grooming supplies, and books on pet care. You may not need any of these items, but the suggestive tool can get you to start clicking. The online store is counting on this action because, the more that you see and read about, the better the chance that you will find a product that interests you. If the product meets your needs or wants, you might make a new purchase. In the end, you may not buy a dog item on the same visit to the online store, but you might come back and buy it at a later time.
Today''s businesses must create a website experience for customers that works from their known habits, including predicting what they will do in the future. To get more ideas about how to use predictive analytics in your business, please contact us.